Other things the same, a decrease in the real interest rate raises the quantity of
a. domestic investment and net capital outflow.
b. domestic investment but not net capital outflow.
c. net capital outflow but not domestic investment.
d. neither domestic investment nor net capital outflow.
a
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Economics is best defined as the science of choice and how people cope with
A) differences in wants. B) differences in needs. C) scarcity. D) different economic systems.
If the Fed wants banks to have more money to lend, it can
A. sell government securities. B. raise the reserve ratio. C. lower the reserve ratio. D. raise its discount rate.
If a purely competitive firm is producing a level of output greater than its profit-maximizing output, then marginal revenue is greater than marginal cost.
Answer the following statement true (T) or false (F)
The per se rule was an antitrust law guideline that emphasized ____ over ____.
A. price; quantity B. quantity; price C. behavior; size D. size; behavior